Connect Quiz Chap. 7

Accumulated Depreciation is:

A contra asset

Over the entire service life of an asset, which depreciation method records the highest total depreciation?

All the methods result in the same total depreciation.

The asset's cost less accumulated depreciation is called

Book value

A long term asset is recorded at the

Cost of the asset plus all costs necessary to the asset ready for use.

Which of the following correctly describes the nature of depreciation

Depreciation represents the allocation of the cost of property, plant, and equipment over its service life.

Which of the following depreciation methonds typically results in the highest depreciation expense during the first year of an assets life?

Double declining balance method

Which is not recorded as an intangible asset in the balance sheet

Research and development

Which of the following intangible assets are not amortized

goodwill

An exclusive 20-year right to manufacture a product or use a process is a:

patent